A successful advertising campaign is most likely to _____
A)increase the price elasticity of demand by stressing the uniqueness of the product.
B)reduce the price elasticity of demand by stressing the uniqueness of the product.
C)reduce the price elasticity of demand by informing consumers about the availability of substitutes.
D)have no effect on the demand curve.
E)make the demand curve shift inward.

Question

Quizplus · Accepted Answer

A successful advertising campaign that stresses the uniqueness of the product is most likely to reduce the price elasticity of demand. This is because consumers perceive the product as being unique and different from substitutes, making them less sensitive to changes in price. As a result, they are more likely to continue purchasing the product even if the price increases.

A Successful Advertising Campaign Is Most Likely to _____